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"It is especially heartening to see more families recognizing and planning for this expense against the broader backdrop of general economic optimism; clearly the challenges of the recent recession are firmly fixed in the minds of college-bound students and their parents alike."

NEWARK, Del.--(BUSINESS WIRE)--The clear majority of families believe higher education is well-worth
the investment, and most students and parents are willing to stretch
themselves financially to make it happen, according to “How
America Values College 2018,” the national study from Sallie Mae,
the nation’s saving, planning, and paying for college company, and
Ipsos, an independent global market research company.

Sixty-six percent of college-going families believe they are getting a good
value for the price they’re paying for college: 36 percent report
they are paying a fair price, 10 percent say they’re getting somewhat of
a bargain, and 20 percent believe the education is worth every penny.

Nearly 80 percent of families say going to college fulfills the American
Dream. Eighty-three percent of families believe the student will earn
more money with a college degree and the expected median starting salary
range after college is $40,000-$59,000. The importance of a college
education is rising; 77 percent of students and parents believe a
college degree is more important now than it used to be.

“It would appear that families are making smarter decisions when it
comes to considering how they pay for a college education – which itself
is seen as increasingly essential in today’s competitive job market,”
says Julia Clark, senior vice president, Ipsos. “It is especially
heartening to see more families recognizing and planning for this
expense against the broader backdrop of general economic optimism;
clearly the challenges of the recent recession are firmly fixed in the
minds of college-bound students and their parents alike.”

Families, even those willing to stretch financially, are taking
deliberate, resourceful, and concrete steps to make
college more affordable. Forty-five percent of college students are
working year-round to earn money for school, and 37 percent of students
live at home with parents or relatives to save on housing costs.
Sixty-seven percent of students are cutting back their spending, and 24
percent of students are taking classes over a shorter period of time in
order to graduate sooner and reduce costs.

“It is human nature not to want to overpay for an important investment,
including a college education. Families resoundingly shared that college
is worth the cost, and their resourcefulness made it more affordable,”
said Raymond J. Quinlan, Chairman and CEO, Sallie Mae. “Still, there is
work to do to equip more families with tools and information to create a
plan to pay for college. Sallie Mae commits to providing this
assistance, which will not only help families become better prepared to
meet college costs, but also make them more confident in the process.”

Planning, and ultimately paying for college, involves terms and jargon
that may leave families scratching their heads. When asked a series of
true or false questions about certain paying-for-college
terminology, 42 percent of families mistakenly believe work-study
funds are automatic, more than 20 percent believe “free tuition” means
college is free, and 19 percent believe the sticker price is what
college will cost them.

“How America Values College 2018” reports the results of 1,907 online
interviews Ipsos conducted between April 20 and May 25, 2018, of 957
American parents of undergraduate students and 950 18- to 24-year-old
undergraduate students. The survey sample reflected a cross-section of
key demographic variables in the United States. Respondents were able to
take the survey in English or Spanish.

Ipsos is a global independent market research company ranking
third worldwide among research firms. At Ipsos, we are passionately
curious about people, markets, brands, and society. We make our changing
world easier and faster to navigate, and inspire clients to make smarter
decisions. We deliver research with security, speed, simplicity, and
substance. We believe it’s time to change the game — it’s time for Game
Changers! Visit https://www.ipsos.com/en-us
to learn more.

Sallie Mae (Nasdaq: SLM) is the nation’s saving, planning, and
paying for college company. Whether college is a long way off or just
around the corner, Sallie Mae offers products that promote responsible
personal finance, including private education loans, free scholarship
search tools, free college financial planning tools, and online retail
banking. Learn more at SallieMae.com.
Commonly known as Sallie Mae, SLM Corporation and its subsidiaries are
not sponsored by or agencies of the United States of America.